Tom is right. Each person is different, and you may very well have a great case for a home equity line of credit (HELOC).
Nannet says that the entire foreclosure issue is because of HELOCs? I'm sure she did not help a SINGLE client buy a new home out of their price range either, right?
People lost their homes to HELOCs because they took the credit and bought a new car or went on vacation. As long as you have a plan of action for your money, you will be fine. My parents recently did this. They took out at (if I recall correctly) 4% APR. They paid off a number of other debts, such as credit cards, etc. that they were paying between 8 and 15% interest on. The difference gave them an extra couple hundred dollars per month, which they used to pay down the HELOC. Other than their home, they will be debt free in about 2 years, and NEVER did they risk loosing their home because they were SMART about it.
People can blame anybody for anything... but in the end, if you are SMART about what you are doing, then it is very difficult to get burned. You really need to do something to get that debt paid down quickly, especially if you are paying minimum payments and still barely getting by month to month.
Notice I have not said ANYTHING about your daughter? That is going to be a personal decision. Vet school is very expensive and is now, what, 8 years? That is a lot of debt for your daughter to rack up as well, but she has to follow her dreams. There are a ton of scholarship programs out there, or opt for cheaper housing, get a couple of roommates, etc... there are ways to cut corners. In the end, if the only way to go to college is to get someone to cosign? I cannot argue against supporting your children. My parents helped me. I assume you are talking about student loans... those payments will be deffered while she is in school, so as long as she finishes school, there is no way she can default for 8 years, right?
It's more than real estate. It's RAYL-Estate!
Keller Williams Elite